Technical Analysis
AON's stock has shown a bearish trend in recent trading sessions, with the price declining from $393.77 to $388.64. The stock is currently trading below its recent high of $395.33, indicating potential selling pressure.
News Sentiment Analysis
Recent news reveals mixed sentiment for AON:
Positive factors:
Negative factors:
Price Prediction for Next Week
Based on technical indicators and news sentiment:
Price target: $382 with 65% probability of reaching this level
Recommendation: SELL
Rationale:
The stock is likely to test lower support levels next week as institutional investors may continue profit-taking given the premium valuation concerns raised by analysts.
The price of AON is predicted to go up 3.67%, based on the high correlation periods with ALE. The similarity of these two price pattern on the periods is 98.46%.
AON
ALE
The tollbooth nature of its brokerage operations makes Aon a relatively stable producer of free cash flow.
Aon's established corporate relationships provide an opportunity to enter and cross-sell new services and move into a larger risk-management role over time.
Management estimates that the top four global brokers have only about 30% market share, leaving plenty of space to expand without intense head-to-head competition.
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